Section 15OF: Prime à l’Emploi Scheme

15OF. Prime à l’Emploi Scheme (1) In this section – “basic wage or salary” – (a) has the same meaning as in the Social Contribution and Social Benefits Act 2021; and (b) includes any payable additional remuneration; “COVID-19 Solidarity Fund” means the COVID-19 Solidarity Fund established under the Finance and Audit (COVID-19 Solidarity Fund) Regulations 2020; 322 Acts 2022 “eligible employee” – (a) means a person employed on a full-time basis by an eligible employer and – (i) the person is a citizen of Mauritius and is resident in Mauritius; (ii) on the date the person takes up employment with an eligible employer, is above 18 years of age and – (A) is not above 35 years of age, in the case of a male; or (B) is not above 50 years of age, in the case of a female; and (iii) the person was not employed for a period of at least 6 months prior to the date on which the person takes employment with an eligible employer; (iv) whose basic wage or salary does not exceed 50,000 rupees in a month; but (b) does not include a person undergoing training or a household employee; “eligible employer” – (a) means an employer established in Mauritius and includes – (i) a company; (ii) a société; (iii) an association; Acts 2022 323 (iv) a trust; (v) a foundation; (vi) a co-operative; (vii) a charitable institution approved by the Director-General or registered under the Registration of Associations Act, charitable trust or charitable foundation; (viii) a religious body; (ix) an individual who is an employer; but (b) does not include – (i) a Ministry, a Government department, a local authority, a statutory body or the Rodrigues Regional Assembly; (ii) a public enterprise; (iii) a person employing only household employees; (iv) such category of employer as may be prescribed; “public enterprise” means an institution which is either Government-owned or Government-controlled, and which is entirely or majority-owned or otherwise controlled by the Government or by any other p individual who is an employer; but (b) does not include – (i) a Ministry, a Government department, a local authority, a statutory body or the Rodrigues Regional Assembly; (ii) a public enterprise; (iii) a person employing only household employees; (iv) such category of employer as may be prescribed; “public enterprise” means an institution which is either Government-owned or Government-controlled, and which is entirely or majority-owned or otherwise controlled by the Government or by any other public institution; “Scheme” means the Prime à l’Emploi Scheme. (2) (a) Every eligible employer shall, in respect of every eligible employee taking employment during the period starting on 1 July 2022 and ending on 30 June 2023, apply to the Director-General, within 15 days from the date 324 Acts 2022 the eligible employee takes up employment, for approval of the employee as an eligible employee, giving details of the employee and such other particulars as the Director-General may require. (b) The Director-General shall approve or reject an application made under paragraph (a) after verifications on the basis of information available to him. (c) The Director-General shall approve only the first 10,000 employees who are eligible employees and in respect of whom an application has been made under paragraph (a). (3) (a) An eligible employer shall, for every month in respect of which an allowance is payable to an approved eligible employee, make an application electronically to the Director-General, in such form and manner as he may determine, giving details of each approved eligible employee and such other particulars as may be required by him for the payment of the allowance. (b) No allowance shall be payable in respect of a month where the application under paragraph (a) is made by an employer 3 months after the end of that month. (c) An employer shall, in an application made under paragraph (a), undertake to safeguard the employment of an approved eligible employee for a period of at least 3 years. (d) The Director-General shall, within 10 working days from the end of the month in which the applications are received – (i) compile a list of applications received; (ii) verify the applications based on available information at the Authority; and Acts 2022 325 (iii) transmit qualifying applications and amount of funds required to effect payment under the Scheme to the COVID-19 Solidarity Fund. (4) (a) Subject to this Part, the Director-General shall, in respect of every approved eligible employee, pay to his employer an allowance equivalent to the basic wage or salary of that employee for that month, not exceeding 15,000 rupees, in the month he is employed and in the next 11 consecutive months immediately following the month of employment. (b) For the purpose of paragraph (a), an employee’s basic wage or salary for a month shall be the basic wage or salary as declared by the employer in the monthly return submitted by him under section 7 of the Social Contribution and Social Benefits Act 2021 for that month. (c) The Director-General may refuse to pay the allowance under this Part where an employer is not compliant, in respect, of an eligible employee, with his obligations under the Social Contribution and Social Benefits Act 2021, the National Savings Fund Act, the Human Resource Development Act and Part VIII of the Workers’ Rights Act 2019. (5) The Director-General shall – (a) in respect of every approved eligible employee taking employment during th ion and Social Benefits Act 2021 for that month. (c) The Director-General may refuse to pay the allowance under this Part where an employer is not compliant, in respect, of an eligible employee, with his obligations under the Social Contribution and Social Benefits Act 2021, the National Savings Fund Act, the Human Resource Development Act and Part VIII of the Workers’ Rights Act 2019. (5) The Director-General shall – (a) in respect of every approved eligible employee taking employment during the period starting on 1 July 2022 and ending on 31 December 2022 with an eligible employer, pay, in addition to the allowance payable under subsection (4) – (i) an additional sum for the month of December 2022 which is equivalent to one twelfth of the allowance 326 Acts 2022 payable to the eligible employee under subsection (4) for the period starting on 1 July 2022 and ending on 31 December 2022; and (ii) an additional sum for the month of December 2023 which is equivalent to one twelfth of the allowance payable to the eligible employee under subsection (4) for the period starting on 1 January 2023 and ending on 31 December 2023; (b) in respect of every eligible employee taking employment after 31 December 2022, in addition to the allowance payable under subsection (4), pay an additional sum for the month of December 2023 which is equivalent to one twelfth of the allowance payable to the eligible employee under subsection (4) for the period starting on 1 January 2023 and ending on 31 December 2023. (6) Where an employer has benefited from an allowance under this Part with respect to a month and with respect to an eligible employee and fails to pay the basic wage or salary of that employee for that month, the employer shall not be entitled to any allowance under this Part for any subsequent month and shall be liable to refund the allowance for that month to the Director-General. (7) Where an employer has benefited from an allowance in excess of the amount to which he is entitled under this Part or has provided false, incorrect, incomplete or inaccurate information to the Director-General, the latter may recover the excess amount or allowance, as the case may be, in the same manner as income tax is recoverable under Part IVC of the Mauritius Revenue Authority Act. Acts 2022 327 (8) Where the Director-General determines that an employee in respect of whom an allowance has been paid under this Part has not worked for the employer to whom the allowance has been paid, the employer shall be liable to refund the total allowance that has been paid under this Part in respect of that employee. (9) (a) The Director-General may, not later than 4 years after payment of an allowance is made under this Part, request any information or document from the employer or any employee to ascertain correctness of the information provided under this Part, the National Pensions Act or the Social Contribution and Social Benefits Act 2021, as applicable. (b) The employer or any employee to whom a request is made under paragraph (a) shall provide the Director-General with such information and document as he may require. (10) (a) Where an employer or his employee or any other person – (i) makes a false declaration to the Director-General to unduly benefit from an allowance under this Part; or (ii) refuses to give information under subsection (9) or gives false information under this Part, he shall commit an offence and shall, on conviction, be liable to a fine not exceeding 50 ee to whom a request is made under paragraph (a) shall provide the Director-General with such information and document as he may require. (10) (a) Where an employer or his employee or any other person – (i) makes a false declaration to the Director-General to unduly benefit from an allowance under this Part; or (ii) refuses to give information under subsection (9) or gives false information under this Part, he shall commit an offence and shall, on conviction, be liable to a fine not exceeding 50,000 rupees and to imprisonment for a term not exceeding 2 years. (b) Where an employee, in respect of whom an allowance has been paid under this Part has not worked for the employer, he shall commit an offence and shall, on conviction, be liable to a fine not exceeding 50,000 rupees and to imprisonment for a term not exceeding 2 years. 328 Acts 2022 (11) (a) Any payment made under the Scheme shall be financed by the COVID-19 Solidarity Fund. (b) The Director-General shall, on receipt of funds from the COVID-19 Solidarity Fund, effect payment in respect of eligible employees by bank transfer. (12) Where the employer terminates the employment of an eligible employee before the end of the period of 3 years, he shall be liable to refund the total allowance that has been paid to him, under this Part, in respect of that eligible employee. (13) The Minister may make such regulations as he thinks fit for the purpose of this Part. (v) in section 154(2)(e), by deleting the words “or (ac)” and replacing them by the words “, (ac) or (ad)”; (w) in section 161A, by adding the following new subsections – Waiving of penalties and interests (74) Where a person is a small and medium enterprise – (a) which has an annual turnover not exceeding 100 million rupees; (b) has outstanding penalties as at 25 March 2022 for late submission of returns or statements of income required to be submitted under section 106, 112, 112A, 116 or 119; and (c) has been issued with a claim on or before 25 March 2022 for the payment of the penalty for late submission of return or statement of income imposed under section 109 or 121, or has submitted the return or statement of income required Acts 2022 329 to be submitted under section 106, 112, 112A, 116 or 119 on or before 25 March 2022, the penalties imposed under section 109 or 121 shall be waived provided that – (i) the due date for the submission of the return or statement falls in the year 2020 or 2021; and (ii) the tax payable in accordance with the return or statement has duly been paid. (75) Where a person is a small and medium enterprise – (a) which has an annual turnover not exceeding 100 million rupees; and (b) has outstanding penalties or interests as at 25 March 2022 for late payment or non-payment of tax payable in accordance with returns or statements submitted in accordance with section 50B, 106, 112 or 116, the penalties and interests imposed under section 50F, 110, 122 or 122D shall be waived provided – (i) the return or statement has been submitted on or before 25 March 2022; (ii) the due date for the payment of the tax falls in the year 2020 or 2021; and (iii) the tax payable in accordance with the return or statement has duly been paid. 330 Acts 2022 (x) in the First Schedule, by repealing Part I and replacing it by the following Part – PART I Rate of income tax An individual having an annual net income – (a) not exceeding 700,000 rupees 10 per cent (b) exceeding 700,000 rupees but not exceeding 975,000 rupees 12.5 nt has been submitted on or before 25 March 2022; (ii) the due date for the payment of the tax falls in the year 2020 or 2021; and (iii) the tax payable in accordance with the return or statement has duly been paid. 330 Acts 2022 (x) in the First Schedule, by repealing Part I and replacing it by the following Part – PART I Rate of income tax An individual having an annual net income – (a) not exceeding 700,000 rupees 10 per cent (b) exceeding 700,000 rupees but not exceeding 975,000 rupees 12.5 per cent (c) exceeding 975,000 rupees 15 per cent (y) in the Second Schedule, in Part II – (i) in Sub-part A, in item 4(c), by deleting the words “11,500 rupees” and replacing them by the words “20,000 rupees”; (ii) in Sub-part C, by adding the following new items –